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But it also marked a drain in sympathy for Israel in Europe, with German officials saying earlier this week that their decision is a protest against Israeli settlement expansion.

Compared to a similar vote on Palestine's bid to join the UN's cultural agency, Unesco, 12 months ago, nine EU countries which abstained or voted No on Unesco changed their votes to Yes or abstained on the UN observer state decision.

He said he met a man who had lost his child and who wept on his shoulder, portraying him as a symbol of Palestine.

America's UN ambassador Susan Rice said: "Today's grand pronouncements will soon fade and the Palestinian people will wake up tomorrow and find that little has changed in their daily lives save that the prospects for a durable peace have receded."

A joint German-Israeli government meeting in Berlin on Thursday is likely to be the scene of more disagreements between Chancellor Merkel and PM Netanyahu as the two traditional allies are having increased difficulty finding common ground.